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Korea to review FTA with EU over Brexit: trade ministry

Striving to cope with the Brexit aftermath, the South Korean government on Sunday said it will prepare for new trade talks with the European Union and Britain.

Seoul signed a bilateral free trade agreement with the EU in 2009. The accord took effect two years later.

(123rf)
(123rf)

"The effect of the South Korea-EU FTA on Britain will automatically become void at the time of its official withdrawal from the EU. But a revision to the FTA is deemed necessary to reflect it," the Ministry of Trade, Industry and Energy said in a statement.

The ministry said it will scrutinize the fallout from the FTA with the EU, excluding London, and consult with the EU on the matter.

It's not a matter of weeks or months, though, as it is expected to take at least two years for Britain to complete negotiations with the EU to follow through on last week's referendum, the ministry added.

"Until that time, the current South Korea-EU FTA will continue to hold true," it said.

It said South Korea will consider a separate FTA with Britain to resolve "legal uncertainties" in bilateral trade.

The top priority is to minimize the negative impact to South Korean firms and maximize national interest, according to the ministry. (Yonhap)
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